3 Tech ETFs for 2026: FTEC, IGV, and XNTK Tell Very Different Stories

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Michael Williams

Wed, March 25, 2026 astatine 6:57 AM CDT 7 min read

Fidelity MSCI Information Technology Index ETF (FTEC) has the lowest disbursal ratio astatine 0.08% and $16.67B successful assets with 283-292 holdings, though its returns are heavy driven by Nvidia, Apple, and Microsoft which comprise 44% of the fund. iShares Expanded Tech-Software Sector ETF (IGV) dropped 20.11% year-to-date and is down 9.31% implicit the past twelvemonth arsenic AI disruption fears deed bundle stocks, portion SPDR NYSE Technology ETF (XNTK) returned 32.22% implicit the past twelvemonth with an equal-weight operation that gives semiconductor instrumentality makers similar Micron, Lam Research, and Applied Materials importantly higher weightings than successful cap-weighted peers.
The 3 funds connection fundamentally antithetic exposures to technology: FTEC provides lowest-cost broad-market coverage, XNTK’s equal-weight operation overweights semiconductor instrumentality and hardware makers comparative to mega-cap dominance, and IGV’s concentrated bundle stake has faced headwinds from AI disruption concerns that Goldman Sachs characterizes arsenic overdone repricing.
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Three tech ETFs. Three precise antithetic portfolios. FTEC, IGV, and XNTK each transportation the "technology" label, but what they really clasp — and however they've performed — tells 3 chiseled stories astir however to ain the sector.

Fidelity MSCI Information Technology ETF (NYSEARCA:FTEC) tracks the MSCI USA IMI Information Technology Index, giving investors vulnerability to the afloat breadth of U.S. exertion — from spot designers and semiconductor instrumentality makers to endeavor bundle and IT services. With astir 283 to 292 holdings, it is the astir diversified money connected this list.

The portfolio is anchored by mega-caps. NVIDIA, Apple, and Microsoft unneurotic relationship for astir 44% of the fund, which is the cardinal tradeoff here: FTEC looks diversified by count, but its returns are heavy shaped by 3 companies. Semiconductors are the largest assemblage portion astatine 32%, followed by systems bundle astatine 18% and exertion hardware astatine 17%.

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What sets FTEC isolated structurally is its cost. The disbursal ratio is 0.08% — among the lowest disposable for immoderate assemblage ETF. Over a decade, a 0.08% disbursal ratio versus a 0.35% oregon 0.39% alternate saves a meaningful fraction of returns connected a ample position. The money manages $16.67 cardinal successful nett assets, making it 1 of the largest pure-play tech ETFs available.

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